On Track Innovations Ltd., a major player in contactless smart card solutions, has won a ten-year contract in conjunction with a local market partner, to deploy its EasyFuel solution for a government ministry in Africa, with initial order of $2.5 million.

It is anticipated that additional orders will be placed as the project expands to support other government ministries that will select additional sites and vehicles.

As per the contract, OTI will generate ongoing revenues, in addition to product sales, from the provision of a wide range of services including key account management, fuel management reports and a comprehensive service bureau.

Home base facilities and priority on-road service stations will be equipped during phase one of the projects, with additional refueling locations enabled thereafter.

In an effort to eliminate fraud and various risk management parameters such as fuel grade and tank capacity checks, vehicle identification will be supported in conjunction with driver identification.

Automatic odometer and/or engine hour outputs, provided by the EasyFuel system will assist the government in its efforts to manage fuel consumption.

EasyFuel is easy, quick and cost-effective to install and maintain and the solution enables a fast turnaround at the pump. Built-in benefits are also provided by the EasyFuel system to Oil companies, commercial fleet operators, financial institutions and private motorists. It also allows for 24-hour non-attendant sales, as well as greater in-store purchases.

In a press release, Oded Bashan, chairman, and CEO of OTI commented, “The EasyFuel product provides a perfect fit for monitoring and controlling fuel consumption and fleet activity. It provides excellent value to customers and presents a long-term, ongoing, high-margin revenue stream for OTI by providing hardware, software and additional services for each project.”

In related news, On Track Innovations Ltd. announced that it will report financial results for the first quarter of 2011 on Tuesday, May 24, at 9:00 a.m. Eastern Daylight Time.

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